The correct answer is D) toward the oil pressure being sealed. The tail or lip of the spring-reinforced oil seal should face toward the oil pressure being sealed to ensure an effective seal. This orientation allows the pressure of the oil to push the seal's lip against the shaft, creating a tight seal and preventing oil leakage. The spring in the seal provides additional force to keep the lip pressed against the shaft, further enhancing the sealing effectiveness. The other answer choices are incorrect because: A) Facing the seal away from the bearing housing recess would allow oil to leak past the seal. B) Facing the seal toward the bearing preload washer would not properly seal the oil pressure. C) Facing the seal away from the oil pressure would not create an effective seal.